SIR STUART HAMPSON, chairman of John Lewis, the retailing partnership, has backed moves to give Royal Mail’s 200,000 workers a share in the postal organisation.

Sir Stuart spoke out as Job Ownership Limited (JOL), a campaign group for employee ownership, today publishes a report on Royal Mail, arguing that employee share ownership would “mean that Royal Mail’s customers, the company itself, its workers and unions, and the Government will gain”.

The John Lewis chairman, who is president of JOL, said: “We have a passionate belief about the benefits of employee ownership in a service industry. It gives a great competitive advantage and Royal Mail has a great deal to gain.” Employee ownership was “a genuine alternative to a plc”, he said.

Sir Stuart told The Times that companies partly owned by their employees were more productive, service-oriented and competitive. The chairman of Britain’s biggest employee-owned organisation said that a Royal Mail share ownership scheme would be an “acceptable way of moving it outside the public service”.

If the share ownership model were to be adopted, each Royal Mail worker would be in line for a windfall of about £5,000 and employees would together take 20 per cent of the business. Allan Leighton, Royal Mail’s chairman, wants shares to be tradeable in an internal market, but Sir Stuart favours a profit-sharing trust such as that of John Lewis. The Communication Workers’ Union fears that such schemes could be a step to full privatisation.

The JOL report is A stake in the post — making employees stakeholders in Royal Mail.

Times Recommends

• Minister in talks with Saudis to protect creditors
• Premier Inn hits back in £29-a-room row
• Bankers hit back at 'populist' bonus supertax